The new EU Directive for the automatic exchange of tax rulings now moves forward for approval, with an effective date of 1/1/2017. A copy of the press release is provided:
- Cross-border tax rulings and advance pricing agreements (APAs) will be automatically exchanged between EU Member States.
- The rulings will be stored in a EU central repository, with access available to the Member States.
- Rulings issued from 2012 will generally be included in the exchange of information, subject to de minimis thresholds.
This development is now moving forward with a transparency focus, although what information will practically be exchanged may be different dependent on the respective Member State.
Multinationals should review prior rulings subject to this exchange to avoid potential surprises.